Sunday, May 18, 2008

Door to Door Sales (The Forgotten Channel)
BCG - The Boston Consulting Group

Source.http://www.bcg.com/impact_expertise/publications/files/Door_to_Door_Sales_Jan_2008.pdf

Summary.
Door to Door sales seems old fashined nowadays however it is still very crucial factor for companies where there is a still 20billion USD obvious oppurtunity if companies can find right circumstances. Besides of this way of marketing is more expensive in this global harsh competition, companies can increase their revenues and acquire more customers by using Door to Door sales.

There are two scales in this Door to Door Channel, the number of feet on the street and the number of sales per rep per day. Small changes in both of them makes significant impacts on numbers. For instance; 3 sales per day from 50 sales people creates 50.000 sales per anum. When we augment this number to 100 sales force with 5 sales per rep per day, we will have approx. 70.000 more extra sales in total.
While companies can benefit from Door to Door sales, they need to control key issues like to reduce the time for travelling for reps, to encourage reps to increase daily contacts, to get necessary permissions in order not to confront with problems, to organize frequent trainings to keep reps updated about latest sales techniques, to establish long term goals for reps instead of hourly sales goals, choosing the best business model for sales, etc... By doing that companies can experience %70-%100 increase in their structure.

Finally when circumstances are right, door to door sales can be a powerful means of acquiring customers and increasing revenues.

Gökhan Erarslan
107604002

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